August 2013 Archives

As both a founding supporter of the IAB Mobile Center of Excellence and a technology media company, IDG has a special interest in trying to better understand buyers and sellers. Numerous research reports have chronicled the explosive adoption of mobile devices but for mobile advertising to accelerate, it is critical to identify buyer behaviors and, most importantly, buyer preferences. To that end, a recent IDG Global Solutions (IGS) online survey asked people in 43 countries how they use their mobile devices at work and when shopping.

The IGS survey of more than 25,000 tech professionals and tech enthusiasts provides revealing insights into the importance of mobile in the buying process, the perception of mobile advertising, and the behavioral shifts brought on by rapid adoption rates for both tablets and smartphones. The spring 2013 online research reveals that today’s mobile audience is highly engaged, always on, is increasingly receptive to mobile ads, and uses tablets and smartphones at each stage of the purchase process including buying!

Personal and Work Lives Converge

Much has been written about the dramatic adoption rates for connected devices and mobile becoming the preferred channel for the tech savvy. However, the mobile momentum and ever-changing interaction with technology has led to major behavioral shifts. Users have migrated from the established separation of work and play toward an “always on” mentality reflected in the Bring Your Own Device (BYOD) to work trend. Today, the lines between private lives and work are being erased with 41% of smartphone users and 37% of tablet users saying that they use privately purchased smartphones and tablets as business devices. The figures rise steeply in emerging regions such as Asia Pacific and Latin America where over 60% of respondents use their own devices on their work networks. Many of the respondents are among the most tech savvy, a group that serves as an early indicator of what is to come with the general population.

Mobile Users Are Active Shoppers

The findings show that this 24/7 audience is actively searching for and recommending products, interacting with vendors and, importantly, is open to mobile advertising: when asked which formats they are most likely to engage with the IGS survey participants cited email, coupons, and location-based advertising.

Last year’s IGS research revealed that connected devices are an integral part of working life. This year the survey focused more on which work activities are performed regularly on mobile devices. Smartphones and tablets are crucial tools starting with information collection and ending with a purchase.

At the product research stage 47% of all smartphone users and 67% of tablet users collect information with their devices. It is important to highlight that 40% of all smartphone users visit tech vendor sites in this process; therefore, mobile optimization is crucial for vendors. A positive mobile experience will impact brand perception and thus the final purchase as 30% of survey respondents said that they would not make a purchase with their smartphone if a site is not mobile optimized. The next stage — price comparison and checking with peers on social networks and forums — is also a tablet and smartphone activity. But most importantly, the audience is buying with their connected devices (73% of tablet users and 56% of smartphone users make purchases on their devices ). More surprisingly, nearly a quarter of professionals and tech enthusiasts make business purchases via their smartphones, while 21% make business purchases with their tablets.

Video Consumption for Entertainment and Work

Not only have technology platforms changed, different content formats are also preferred by mobile users in comparison to the wired web. Ninety percent of all tablet users said they watch video content on their device (up from 66% in 2012) while 67% indicated that they watch videos on their small-screen smartphones. Most interesting from a marketer’s point of view is the fact that users do not just watch YouTube videos and movies but also access vendor content and reviews. One-third of all respondents watch promotional videos on their tablets and 40% view videos/webcasts related to their jobs.

The many years and predictions of “this is the year of mobile” are over. Mobile adoption rates have soared for a few years as shipments of PCs continue to decline. Marketers and media companies must respond to their prospects and audiences as they accelerate their reliance on mobile devices for interaction, entertainment, and purchase activities.

Christina Carstensen has over thirteen years experience in the digital media space. For the past four years Christina has headed up IDG’s Mobile offering, developing& executing mobile led strategy and programs specifically designed to connect to an ever-growing mobile audience.

Despite my silent goal to never again take a multiple-choice exam post college, I found myself on July 31st at the NetCom testing center on West 33rd, preparing to take the IAB Digital Media Sales Certification exam.

The IAB launched this training program over a year ago to help increase the knowledge of digital sales professionals. As a marketing exec at PulsePoint, a data-driven content technology provider, I considered myself lucky to take the exam alongside our entire salesforce. In an effort to continue to adopt and help drive industry best practices, our SVP of Sales, John Ruvolo, instated the requirement that all sales support teams - sellers, client services, account managers, ad operations, and marketing - successfully complete the training and obtain certification. Now, I must admit - having to carve out time to study on top of the daily grind was a challenge, but as I started digesting the impressive body of study preparation materials created by the IAB, I found myself happy to do so.

I have worked my entire professional life in the digital media space and truly appreciate that the IAB has provided a training program that deepens my understanding of our industries ever-changing processes, rules and regulations, best practices, definitions and of course…all those acronyms. Our space evolves at a dizzying pace to (try to) stay ahead of the mind-blowing technology being created every day. Chrome TV, one-click mobile payments, location sharing apps…it’s enough to make you seriously consider one of those ‘digital detox’ retreats. But without that evolution, without the constant influx of fresh ideas and new ways of connecting consumers to an amazing online experience, it would not be the exciting and fulfilling environment so many of us call home every day.

It has been common practice to learn and grow alongside all of this change through a mix of self-education and information sharing amongst colleagues, partners, and friends. What a relief to have a trusted, accredited program led by our industry body that helps to educate and benchmark our top professionals against rigorous industry standards. We finally have proof that we know what we are talking about…well, most of the time.

This IAB Certification process is something that digital execs across all business channels of our industry should undergo. I am proud that PulsePoint has embraced the program and offered it to employees beyond direct sellers; we are already exploring ways to incorporate this into all new hire training. Activating this program at the sales level of an organization and beyond can also impact future hiring decisions. It enables us to narrow candidate searches to only the best, most qualified applicants and allows us have even more faith that our teams are making the most educated decisions possible.

In order for digital media to continue being one of the most sought-after industries to work within, we must take responsibility to ensure that those dedicating their livelihood to it have the right tools to be as successful as possible. The IAB has taken great strides in creating a framework within which this critical professional development can happen, and I look forward to seeing it continue to grow.

Marketers love digital media, plain and simple. The digital platform gives marketers opportunities to create conversations and consumer relationships that heretofore were not possible. Brands are being built and results are being generated due to digital’s expansion within the marketing mix.

But marketers are also frustrated by the lack of “viewability”. In 2012, according to various sources, 1.8 trillion display ads were paid for, but could not be seen. We are close to realizing a material improvement to this fundamental issue: viewability. Yes, the viewable impression is nearly here. The Media Rating Council (MRC) expects to lift its Viewable Impression Advisory by the end of this year, and at that time marketers will eagerly start buying digital media on viewable metrics. Publishers and agencies, we hope you’re ready.

Marketers reportedly waste billions of dollars annually in display ads that are not viewable. ANA’s Board of Directors and the larger marketing community have demanded that viewability become the basis for digital currency and transactions.

In February 2011, when ANA joined with IAB and the 4A’s to start the Making Measurement Make Sense initiative, we recognized a tremendous shortfall in digital spending productivity. We saw a substantial confidence gap in understanding the value of marketing investment in display and video advertising. We were horrified that the media that was “supposed to be the most accountable” was turning out to be the least accountable. With great anticipation, we are now just a few months away from resolving a significant driver of this dilemma.

The foundation of this excitement is the overdue shift from served impressions to viewable impressions. It gives marketers the assurance that consumers get to see the ad that they paid to place. Critically, it opens the opportunity for apples-to-apples cross-platform comparisons that will increase marketer confidence in the development of intelligent and capable multi-screen marketing plans. It provides marketers with the accountability they need to embrace digital more enthusiastically. There’s also a great benefit for publishers, agencies, and others that succeed in making the transformation to viewable, as they will become the preferred partners of these hungry marketers. The upside is enormous for all those that make the shift.

We recognize, however, that the move to viewable is rattling many businesses to their cores. Publishers need to adopt SafeFrame to increase the proportion of their inventory that is measurable for viewability, and to adjust the very constitution of their operations to manage this important currency change.

We understand that the system will be imperfect. Refinement of viewable impression transactions will continue even after the MRC Advisory is lifted. For example, new complexities in discrepancy resolution will need to be explored and resolved

There is no turning back. The marketing community has waited too long and wasted too much money not to make the leap to viewable. We cannot be frozen by fear or perfectionism either. Without forward motion, we will undermine the advancements already established. We will also undercut future enhancements that will make digital media a more appealing brand-building investment for marketers.

The viewable impression will be the foundation of fundamental innovations such as the Digital GRP. Creating a GRP that is comparable to that in other media is crucial for the evolution of cross-platform analytics. Marketer’s inherent challenge to enhance integrated marketing would be dramatically reduced by a “common GRP.” This would facilitate improved decision-making and resolve cornerstone issues such as marketing mix modeling and media budgeting decisions. Combined with the growing use of the common coding power of Ad-ID, marketing measurement for publishers, agencies, and marketers would be turbocharged.

For the digital media industry, the only question is how fast we can implement these historic changes. The MRC is bounding onwards, completing the work needed to lift the advisory and continuing to guide us toward a more accountable media marketplace. For agencies, forward motion means being ready to rely on the clarity provided by these new metrics to advise and act in the best interests of marketers. For publishers, it means adopting SafeFrame now and being ready to satisfy marketer demand for viewable impression transactions by the end of the year.

This is the age of accountability. If you’re ready to meet the demands of the day, you’ll be greatly rewarded. But if you’re not a participant, you’ll run the risk of being left on the sidelines. Let’s do this all together and move the industry decidedly forward.

About the Author

Bob Liodice

Bob Liodice is President and Chief Executive Officer, Association of National Advertisers